ALLETE, Inc. Reports Decline in 2024 Earnings

Allete Inc ( (ALE) ) has released its Q4 earnings. Here is a breakdown of the information Allete Inc presented to its investors.

ALLETE, Inc. is an energy company based in Duluth, Minnesota, operating primarily in the utilities sector with a focus on electric utilities, clean energy, and infrastructure investments. The company owns Minnesota Power, Superior Water, Light & Power, ALLETE Clean Energy, and other energy-related businesses.

In its 2024 earnings report, ALLETE, Inc. announced earnings of $3.10 per share, with a net income of $179.3 million and operating revenue of $1.5 billion. This represents a decline from 2023, where earnings were $4.30 per share on a net income of $247.1 million and revenue of $1.9 billion. The 2024 results were impacted by transaction expenses related to a merger agreement and interim rate implementations.

Key financial highlights include the Regulated Operations segment recording a net income increase to $160.9 million, driven by interim rate implementations and higher transmission margins. However, ALLETE Clean Energy saw a significant drop in net income to $17.8 million due to outages at its wind energy facilities. Corporate and Other businesses also experienced a decline in net income, primarily due to higher transaction expenses and lower earnings from solar projects.

Looking forward, ALLETE’s management remains optimistic about the ongoing merger with Canada Pension Plan Investment Board and Global Infrastructure Partners, which is expected to close in 2025. The company continues to focus on its sustainability strategy and infrastructure projects, aiming to provide reliable and affordable services to its customers while navigating industry challenges.